Eurozone business growth slumps as price hikes biteReuters, LONDONEurozone business growth has slowed significantly this month — and by much more than expected — as consumers concerned about soaring bills opted to stay at home and defer purchases to save money, a survey showed yesterday. “Eurozone economic growth is showing signs of faltering as the tailwind of pent-up demand from the [COVID-19] pandemic is already fading, having been offset by the cost of living shock, and slumping business and consumer confidence,” S&P Global chief business economist Chris Williamson said. The composite new business index dropped to a 16-month low of 50, the dividing line between growth and contraction, from 53.3. Growth in demand for services all but dried up, and firms faced input costs rising at a near-record rate, forcing them to pass some of that burden on to customers. “Inflows of new business have stalled, led by a slump in demand for goods and reduced demand for services from cash-strapped consumers in particular,” Williamson said.

Source: Taipei Times June 24, 2022 00:17 UTC